Irdai clarifies on AIF norms for insurers

Mumbai: The Insurance Regulatory and Development Authority of India (Irdai) today issued clarifications allowing insurers more flexibility to invest in Alternative Investment Funds (AIFs), while bringing in a clause to restrict overseas investments using policyholder funds through these funds. The proceeds of insurers' capital must not be deployed outside India, the regulator said. Irdai replaced an earlier provision to clarify that insurers must comply with single AIF exposure limits by aggregating both direct and indirect exposure through Fund of Funds (FoFs).